| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers A > Headlines for Asarco LLC > News item |
Asarco seeks exclusivity extension to allow global resolution with creditors
By Jennifer Lanning Drey
Portland, Ore., Jan. 5 - Asarco LLC requested a 12th extension to its exclusive periods to file a plan of reorganization and solicit votes on the plan, according to a Monday filing with the U.S. Bankruptcy Court for the Southern District of Texas.
The company wants to extend the exclusive plan-filing period to March 17 from Jan. 16 and the solicitation period to May 18.
Asarco said it continues to assess options for emergence from bankruptcy, including entering into a settlement and amended agreement with Sterlite (USA) Inc., pursuing a breach of contract action against Sterlite, selling the company's assets to another buyer and filing a stand-alone plan.
The company said it has been in constant communication with its major creditor constituents and continues to work toward global resolution of their major contingent liabilities while also negotiating a consensual amended Chapter 11 plan.
Asarco said the exclusivity extension would allow these negotiations to continue without the cost and distraction of third-party plans.
"Because the debtors' financial position is tied to a downward-trending commodities market, the preservation of estate resources is critical in this stage of the debtor's Chapter 11 cases to avoid significant loss in value," Asarco said.
The company noted that it was not looking to re-impose exclusivity on the parent company, as the court previously modified exclusivity to allow Asarco's parent to file a plan.
A hearing has not yet been scheduled.
Asarco, a Tucson, Ariz., mining company, filed for bankruptcy on Aug. 9, 2005. Its Chapter 11 case number is 05-21207.
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.